Final answer:
To find the total amount paid on a loan, calculate the interest and add it to the initial amount borrowed. In this case, the total amount is $248.
Step-by-step explanation:
To calculate the total amount you will pay all together, you need to calculate the interest on the loan and add it to the initial amount borrowed.
Step 1: Calculate the annual interest by multiplying the borrowed amount ($200) by the annual interest rate (2%).
Annual Interest = $200 * 0.02 = $4.
Step 2: Multiply the annual interest by the number of years to find the total interest paid.
Total Interest = $4 * 12 = $48.
Step 3: Add the total interest to the borrowed amount to get the total amount paid all together.
Total Amount = $200 + $48 = $248.
Therefore, the correct answer is B. $248.